Page 63 - Plastic News Issue August 2025
P. 63
BUSINESS NEWS
but warned markets could suffer after a spate of still set back Trump's tariff agenda and take
preemptive trade activity driven by tariffs. down trade barriers.
Future environment The US Court of Appeals for the Federal Circuit
heard arguments on July 31 to determine wheth-
The blow to global markets will be dictated by er Trump exceeded his authority by invoking the
the stability of tariffs, with executives hoping for International Emergency Economic Powers Act
some respite from the policy yo-yo of recent to impose tariffs, with a ruling expected by mid-
months.
August.
Many tariff rates are not legally binding, and rely Source - https://www.spglobal.com/
on pledges to make massive, often unattainable
investments in the US market.
The EU, for example, secured an agreement to
halve its tariff rate to 15% by pledging to buy
$750 billion worth of US energy in the next three
years, a level most analysts have said could
prove impossible to reach.
The outcome of tariff rates for Mexico and China
will also set the tone for the economic outlook,
as will threats of tougher tariffs for Russian trade
partners.
"We've said it before, and we'll say it again: this
7 August date does not mark the end of the tar-
iff saga, and higher tariffs on individual countries
could still be imposed," said Inga Fechner, senior
economist on Global Trade at ING.
On the flip side, ongoing legal challenges may
August 2025 PLASTICS NEWS 63
